MID-DAY: TSX struggles under trade war concerns; Loonie boosted by interest rate hike optimism
Bay Street is still under pressure from trade war concerns.
The TSX is sliding 113 points falling to 16,124 and across the border the Dow is steady at 24,117. The weight is still coming from trade war worries as the US takes on many countries including Canada with its protectionist stance. Analysts are expecting tech stocks to get hit the hardest in this ongoing dispute as the US targets Chinese tech investments on American soil.
Despite BoC Governor Stephen Poloz’s dovish tone on the interest rate, analysts are still expecting the rate to be hiked in July. Poloz said the BoC was looking at trade war concerns and a slowing housing market as it makes a decision on the rate.
The optimism on a rate increase is helping the Loonie grow to 75.39 cents US.
The crude price rally continues as US oil pushes to 73.90 a barrel.